City Of London

London Homebuilder Berkeley Group Plans to Slow New Land Deals

  • Company will instead prioritize returning cash to investors
  • Soaring inflation and rising interest rates may cool UK market

Berkeley added four major new sites in the year through April, adding 6,000 homes to its pipeline.

Photographer: Chris Ratcliffe/Bloomberg
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London’s biggest homebuilder Berkeley Group Holdings Plc plans to put the brakes on buying new land as the business pivots to returning capital to shareholders against a backdrop of a cooling housing market.

The company said it “will now only acquire new land very selectively,” after a period of sustained investment in new projects, according to a statementBloomberg Terminal Wednesday. Instead it will prioritize returning cash to investors over and above its existing commitments, it said in the statement.